FTC Imposes Record-Breaking Penalty on Facebook


Facebook will pay an unprecedented $5 billion penalty and submit to new restrictions and a modified corporate structure in a settlement with the Federal Trade Commission (FTC).  The charges against Facebook include violating a 2012 FTC order by deceiving users about their ability to control the privacy of their personal information.


The penalty is the highest ever imposed on any company for violating consumers’ privacy – nearly 20 times greater than the penalty imposed for the Equifax breach.  In addition to the penalty, Facebook must adhere to new restrictions on its business operations in order to “restructure its approach to privacy from the corporate board-level down.”  The order also creates greater accountability at both the board and the individual levels by creating an independent privacy committee.
This decision makes it clear that the FTC is not only not backing down against privacy concerns, but is pursuing them with a new purpose.  At Hire Image, privacy is of the utmost importance and this priority is reflected in our policies and procedures.



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